Members of management bodies of prescribed associations (click here for a definition of 'prescribed association') have a duty under the Associations Incorporation Act, 1985 s 39A(4) to act at all times with reasonable care and diligence. (This duty applies to 'officers' of prescribed associations, who also have other duties under the Act.)
If someone contravene this section, they can be fined and they are also liable for any damage caused to the association [s39A(5)].